The Commission announced today that, on December 5, 2000, the Honorable Nancy Gertner, United States District Judge for the District of Massachusetts, issued a Final Judgment of Permanent Injunction against William Duke ("Duke"), who consented to the relief without admitting or denying the Commission's allegations. The Judgment enjoins Duke from future violations of the antifraud provisions of the federal securities laws and requires him to repay all ill-gotten gains he received.

The Court ordered Duke to disgorge $100,726 of ill-gotten gains, representing money and property he received from his alleged conduct. The disgorgement was partially waived based on Duke's demonstrated inability to pay. Duke was required to relinquish ownership of a 22 foot Bayliner power boat and to disgorge all funds held in bank accounts under his control and frozen by the Court at the initiation of this action in July, 1998. The Court's Judgment did not assess any civil monetary penalties based on Duke's financial condition. Duke is enjoined from violating Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder.

The litigation is continuing against Richmond, the remaining primary defendant, and two relief defendants. Additionally, on April 6, 2000 a federal grand jury indicted Richmond in connection with the alleged fraudulent scheme, and his criminal trial currently is scheduled to commence on January 22, 2001. For further information, see Litigation Release Nos. 15813, 15892, 16027, 16104 and 16512.